Published: Sun 12 Jan 2020, 6:51 PM
Updated: Sun 12 Jan 2020, 8:54 PM
The effectiveness of Abu Dhabi's policies is strongly reflected in its GDP performance
Abu Dhabi's gross domestic product increased by 14.6 per cent at current prices, reaching Dh932.4 billion in 2018, compared to Dh813.6 billion in 2017.
The details released recently by Statistics Centre - Abu Dhabi (Scad) in its annual national accounts report for 2018 showed that the rise was a direct result of the increase in oil GDP at current prices, which grew by 40.2 per cent to Dh388.5 billion in 2018, making up 41.6 per cent of total GDP.
Non-oil GDP at current prices increased from Dh536.6 billion in 2017 to Dh543.9 billion in 2018, achieving a growth rate of 1.4 per cent, and contributing 58.3 per cent of total GDP at current prices in 2018.
Non-oil activities, meanwhile, recorded remarkable growth since 2008 as changes in economic activities during the past years have helped accelerate the growth rates of the GDP at current prices.
In 2018, notable progress in several non-oil sectors was observed, including the manufacturing industries sector, one of the leading economic activities, which posted an annual growth of 8.1 per cent.
Public administration and defence, and compulsory social security activities registered a growth rate of 6.2 per cent. Furthermore, electricity, gas, water supply and waste management activities grew by 5.1 per cent, construction activities by 3.8 per cent and transportation and storage activities by 1.3 per cent.
Compensation of employees rose by 3.5 per cent to reach Dh248.7 billion in 2018, compared to Dh240.2 billion in 2017. Production, which is the value of economic activities, outputs of goods and services, increased in the emirate with a significant growth of 11.6 per cent, reaching Dh1,423 billion in 2018, compared to Dh1,275 billion in 2017.
Q2, Q3 2019 results
According to the results of the quarterly economic survey, Abu Dhabi's GDP at constant prices increased 2.7 per cent to Dh204.9 billion in the third quarter of 2019, up from Dh199.5 billion for the same quarter of 2018. Data also shows positive growth in the oil sector, and the majority of non-oil sectors, compared to the third quarter of of 2018, led by transportation and storage; electricity, gas, water supply; and waste management activities.
In the second quarter of, Abu Dhabi's GDP at constant prices increased by 5.2 per cent to Dh207.7 billion compared to Dh197.4 billion for the same period in 2018.
Oil GDP at constant prices increased by 12.5 per cent in the period, reaching Dh108.6 billion, up from Dh96.5 billion in the prior period. Oil GDP accounted for 52.3 per cent of total GDP at constant prices.
Abdullah Ahmed Al Suwaidi, acting director-general of Scad, said Abu Dhabi's GDP has shown significant growth at both constant and current prices across sectors, proving the effectiveness of the financial and economic policies formulated by Abu Dhabi's wise leadership. Despite the fluctuations in the global economy, Abu Dhabi economy has maintained its stability, thanks to the flexible economic diversification model adopted by the emirate.
Rashid Abdul Karim Al Balooshi, under-secretary of the Abu Dhabi Department of Economic Development, said the economy underwent significant improvements over the periods covered by the report in the second quarter of 2019, driven by growth in the oil sector.
He pointed that the emirate's GDP results for that period are the outcome of the directives of Abu Dhabi government and its bid to achieve its strategic objectives. These aim to take further initiatives to maximise the private sector's contribution to the emirate's GDP, enabling it to play an effective role in overall development and attract more foreign investment.
- reporters@khaleejtimes.com